Gold production falls at Bell, Williams mines

Gold production at the David Bell mine at Hemlo, Ont,. is expected to drop to 256,000 oz. this year from 283,128 oz. in 1991, Teck (TSE) says in its 1991 annual report.

The mine reached its peak in 1990, when it produced 318,097 oz. gold at an average operating cost of US$89 per oz. Last year, although costs crept up to US$99 per oz., David Bell remained the lowest cost gold producer in Canada. At the end of 1991, its seventh year of production, David Bell’s ore reserves were 6.8 million tons grading 0.36 oz., sufficient for another 14 years of production at the present mining rate.

Annual production is also on the decline at the nearby Williams mine, Canada’s largest gold mine. In 1992, Williams is expected to yield 455,000 oz. compared with 518,703 oz. in 1991 and 594,128 oz. in its peak year, 1990. Current reserves are expected to provide another 15 years of production for Williams, Teck says. Exploration drilling on the “C zone” from a 3,600 ft. drift at the 9,975 level is scheduled to begin by early summer. Teck and International Corona (TSE) each have a 50% interest in the Williams and David Bell mines.